MNI China Press Digest, May 28: Huawei, Rate Cuts, Reforms

     BEIJING (MNI) - The following lists highlights from Chinese press reports

on Thursday:

     The Canadian court ruling to keep Huawei Chief Financial Officer Meng

Wanzhou in custody could make the bilateral relations between Canada and China

"worse than ever", according to Global Times. Quoting He Weiwen, a former senior

trade official and an executive council member of the China Society for World

Trade Organization Studies, the Global Times report said that the deteriorating

bilateral ties would initially be seen in a souring of trade exchanges between

the two countries.

     There was a large possibility of further rate cuts in China as the CPI

continues to fall from previously high levels, Securities Times said in a

commentary. The core issue in the current monetary environment in China is about

the high financing costs for small-and-medium enterprises, an issue which should

be addressed by lowering rates, the commentary said.

     The Financial Stability and Development Committee of China (FSDC) will

publish 11 documents in coming days on reform in capital markets, according to a

statement on the People's Bank of China website on Wednesday. The documents

would also cover reforms to the bond market and the recapitalisation of

small-and-medium-sized banks, the statement said. 

--MNI Beijing Bureau; +86 (10) 8532-5998; email: archie.zhang@marketnews.com

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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